In a notice sent to the Nigerian Stock Exchange, Forte Oil Nigeria Plc stated it had obtained shareholders approval to enter into discussions with its Chairman, Femi Otedola.
The company in a notice issued last month had disclosed Otedola had expressed interest in acquiring some assets Forte Oil was selling.
The assets are the company’s upstream, power and Ghanaian units. Forte Oil Plc in May last year, put up the assets in question, on sale.
The company last year also notified the NSE of divestment by its majority shareholder, Femi Otedola.
The transaction is expected to close in the first quarter of 2019 subject to the satisfaction of various conditions and receipt of various regulatory approvals.
Forte Oil closed at N29.70 on Friday’s trading session on the Nigerian Stock Exchange (NSE). Year to date, the stock is up 3.48%.
For the 9 months ended September 30, 2018, revenue increased from N68 billion in 2017 to N94.8 billion in 2018. The company made a profit before tax of N78 million compared to a loss of N626 million recorded in 2017.
Profit after tax (including discontinued operations) stood at N9 billion in 2018, compared to the N5.6 billion recorded in 2017.